HOMEOWNERS need to batten down the hatches and make sure their borrowing is properly protected in 2008 to weather the financial fallout of rising fuel costs and stalling retail figures, says independent payment protection provider Paymentcare.co.uk.
“Whilst it wasn’t a complete surprise that the Bank of England decided against a rate cut today, there will have been a collective groan of disappointment from the nation’s homeowners,” says Paymentcare.co.uk MD Shane Craig.

With no immediate relief for those who have overspent on Christmas and the unavoidable drain on their budget from soaring gas and electricity costs, some borrowers could be looking down the barrel of a loaded gun this year.

Although a bet on whether the MPC will cut rates or not costs nothing, taking a gamble on the chances of losing their income through illness, accident or unemployment can cost homeowners their home if they have no form of protection.

“If you haven’t got a plan for how to keep up mortgage, personal loan or credit cardrepayments if you lose your income you could find yourself in real trouble, it’s that black and white,” says Craig.

“Payment protection insurance from an independent provider is an affordable way to insulate yourself from the knocks that may affect you in the current financial climate.”